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Assignment Problems

1. For the following data set, the dependent variable {response) is the first variable.
Choose the independent variables {predictors) as you judge appropriate. Use a
spreadsheet or a statistical package (e.g., SPSS or SYSTAT or MIN1TAB) to perform the
necessary regression calculations and to obtain the required graphs.
Consumer Prices, Capacity Utilization, and Money Supply (n = 41, k = 4)
Year
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970
1971
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000

ChgCPI
0.7
1.3
1.6
1.0
1.9
3.5
3.0
4.7
6.2
5.6
3.3
3.4
8.7
12.3
6.9
4.9
6.7
9.0
13.3
12.5
8.9
3.8
3.8
3.9
3.8
1.1
4.4
4.4
4.6
6.1
3.1
2.9
2.7
2.7
2.5
3.3
1.7
1.6
2.7
3.4
1.6

CapUtil
80.1
77.3
81.4
83.5
85.6
89.5
91.1
87.2
87.1
86.6
79.4
77.9
83.4
87.7
83.4
72.9
78.2
82.6
85.2
85.3
79.5
78.3
71.8
74.4
79.8
78.8
78.7
81.3
83.8
83.6
81.4
77.9
79.4
80.4
82.5
82.6
81.6
82.7
81.4
80.6
80.7

ChgM1
0.5
3.2
1.8
3.7
4.6
4.7
2.5
6.6
7.7
3.3
5.1
6.5
9.2
5.5
4.3
4.7
6.7
8.0
8.0
6.9
7.0
6.9
8.7
9.8
5.8
12.3
16.9
3.5
4.9
0.8
4.0
8.7
14.3
10.3
1.8
-2.1
-4.1
-0.7
2.2
2.5
-3.3

ChgM2
4.9
7.4
8.1
8.4
8.0
8.1
4.6
9.3
8.0
3.7
6.5
13.4
13.0
6.6
5.4
12.7
13.4
10.3
7.5
7.9
8.6
9.7
8.8
11.3
8.6
8.0
9.5
3.6
5.8
5.5
3.8
3.0
1.6
1.5
0.4
4.1
4.8
5.7
8.8
6.1
6.1

ChgM3
5.2
8.1
8.9
9.3
9.0
9.0
4.8
10.4
8.8
1.4
9.9
14.6
14.2
11.2
8.6
9.4
11.9
12.2
11.8
10.0
10.3
13.0
9.1
9.6
10.9
7.3
9.1
5.4
6.6
3.8
1.9
1.3
0.3
1.5
1.9
6.1
7.5
9.2
11.0
8.3
8.9

Variable Names: ChCPI = percent change in the Consumer Price Index (CPI) over

Answer 3: 4. State your a priori hypotheses about the sign (+ or —) of each predictor and your reasoning about cause and effect. Do a two-tailed ‘t’ test for zero slope for each predictor coefficient at a = . Unit of observation is 2.05. how would you describe the fit? Answer 8: . ChgM2 = percent change in small time deposits and other near-money (M2) over previous year. CapUtil = percent utilization of manufacturing capacity in current year. Label sections of your report to correspond to the questions. Answer 2: 3. Would the intercept have meaning in this problem? Explain. ChgM3 = percent change in large time deposits. (a) Which p-values indicate predictor significance at α=0.05? (b) Do thep-values support the conclusions you reached from the ‘t’ tests? (c) Do you prefer the ‘t’ test or the p-value approach? Why? Answer 7: 8. 1. ChgM1 = percent change in currency and demand deposits (M1) over previous year. Do the coefficient signs agree with your a priori expectations? Answer 4: 5. Answer 6: 7. and other institutional balances (M3) over previous year Write a concise report answering following questions 1 through 10. Eurodollars.previous year. Are the X and Y data well-conditioned? If not. make any transformations that may be necessary and explain. Perform the regression and write the estimated regression equation (round off to 3 or 4 significant digits for clarity). Insert tables and graphs in your report as appropriate. Based on the R2 and ANOVA table for your model. Does the 95 percent confidence interval for each predictor coefficient include zero? What conclusion can you draw? Answer 5: 6. Is this cross-sectional data or time-series data? What is the unit of observation? Answer 1:Time -series data.

In a pretest. Answer 10(b) Source: Applied Statistics in Business and Economics. Use the standard error to construct an approximate prediction interval for Y. Caseno Usage 1 2 3 4 5 6 7 8 9 10 11 12 3 1 1 3 3 2 2 1 2 1 3 3 sex 2 1 1 2 2 2 1 1 2 1 2 2 Awareness Attitude Preference Purchase Loyalty 7 2 3 6 5 4 5 2 4 3 6 6 6 2 3 5 4 3 4 1 4 1 7 5 5 4 6 5 7 5 4 3 3 2 6 6 5 6 7 3 4 2 3 4 6 4 4 4 6 5 6 2 3 3 2 5 5 5 5 4 . Note that 5 respondents have missing values that are denoted by 9. attitude. These data are given in the following table. The sex has been coded as 1 for females and 2 for males. medium. Based on the width of this prediction interval. and loyalty toward Nike of a sample of Nike users. intention. Awareness. would you say the predictions are good enough to have practical value? Answer 9 10. Answer 10(a) (b) Based on the correlation matrix. ***** 2. preference. attitude.9. 2. Tata Mc-Graw Hill. Usage has been coded as I. or heavy users. 7 = very favorable). awareness. intention. and loyalty are measured on seven-point Liken type scales (I = very unfavorable. sex. which gives the usage. preference. (a) Generate a correlation matrix for your predictors. or 3. is collinearity a problem? Explain. representing light. Round the results to three decimal places. data were obtained from 45 respondents on Nike.

preference. c) Does the awareness for Nike exceed 3. Label sections of your report to correspond to the questions. In each case. Write a report answering following questions 1 to 8. Interpret the results.13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 1 3 1 1 3 2 1 3 3 2 1 3 1 2 3 2 1 2 1 1 2 2 3 3 3 3 3 1 1 1 1 1 1 1 2 2 2 1 1 1 1 2 2 1 1 2 2 2 1 1 2 2 2 1 1 1 1 2 2 2 1 1 1 1 1 1 4 6 4 3 7 6 1 5 6 2 1 6 3 5 7 6 9 5 1 4 3 4 5 6 6 5 7 4 2 1 2 3 1 3 4 3 4 6 5 1 7 6 3 1 7 2 3 6 4 2 9 2 6 4 6 7 5 7 6 7 3 3 3 4 3 1 3 5 4 2 4 4 3 4 7 1 3 6 2 4 6 2 3 4 9 5 3 5 7 7 5 4 6 4 4 2 3 4 4 1 3 5 4 5 3 4 1 7 4 2 7 1 4 5 5 1 6 3 9 2 7 3 3 3 3 3 6 5 3 6 6 5 1 2 6 2 3 2 5 2 5 2 2 6 1 5 7 6 3 5 2 3 9 6 3 4 4 2 4 5 6 4 7 5 3 Analyze the Nike data to answer the following questions.0? d) Do the males and females differ in their awareness for Nike? Their attitude toward Nike? Their loyalty for Nike? e) Do the respondents in the pretest have a higher level of awareness than loyalty? f) Does awareness of Nike follow a normal distribution? g) Assume that awareness toward Nike was measured on an ordinal scale rather than an interval scale. a) Obtain a frequency distribution for each of the following variables and calculate the relevant statistics: awareness. b) Conduct a cross-tabulation of the usage with sex. Insert tables and graphs in your report as appropriate. intention. attitude. and loyalty toward Nike. formulate the null and the alternative hypotheses and conduct the appropriate statistical test(s). Do males and females differ in their awareness toward Nike? h) Assume that loyalty toward Nike was measured on an ordinal scale rather than an .

Malhotra.interval scale. Do males and females differ in their loyalty toward Nike? Source: Marketing Research (4Ed)– Naresh K. ***** . Pearson Education.